Assembly Biosciences Inc. Common Stock (ASMB)

FairStock Score: 57/100 — STEADY

Key Financials

Strengths

• Conservative balance sheet with debt-to-equity of just 0.01, providing financial flexibility
• Superior net profit margin of 31.1% indicating pricing power and operational efficiency
• Revenue growth of 477.3% demonstrates strong top-line momentum

Concerns

• Trades significantly above Graham Number ($5) with negative 486% margin of safety—limited downside protection

AI Analysis

Assembly Biosciences Inc. Common Stock is a micro-cap healthcare company valued at $450 million. The business generates $71 million in annual revenue with a 31.1% net margin. From a quality standpoint, Assembly shows solid Piotroski F-Score of 6/9 and Altman Z-Score of 2.2 in the grey zone. On valuation, the stock is commanding a steep 380.1x multiple, with trades far above its Graham Number ($5) with no margin of safety. Growth dynamics show revenue growing at 477.3% and profit growth of 313.7%. Our composite FairStock Score of 57/100 reflects mixed fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Assembly's 477% revenue growth trajectory could accelerate as it captures additional market share in the healthcare sector. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

At 380x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer